Kamala supports 44% tax on capital gains

[candycorn]

Capital gain taxes have, historically, little influence over actual investment. If anything, a lower capital gains rate increases both the amount of "speculation" and market variances, the beta.

It makes no sense, to tax capital gains at a lower rate than earned income. I mean if you tax the dudes that lease out the shovels less than the ones doing the digging, pretty soon everyone is going to own shovels and no one will want to dig.

Well, there is some gray area there.

I take home $1800 a week. I use $400 of that to buy a stock. That $400 is already taxed. So I can see an argument that when I sell some or all of that initial $400 investment for a profit, I shouldn’t be taxed again.

What is happening though is that the major shareholders often reinvest the dividends to buy more stock. That isn’t taxed. So if I bought 80 shares with that $400, after a few years, I have 100 shares or whatever. I sell 100 shares--20 of which were bought with money that was never taxed.

And, as I understand it, the portfolio becomes so large that they simply borrow money against it (money to live on) and sell shares to pay off the loan. So you pay taxes on what you sold to pay off a loan that isn’t taxed either.

 

[Hollie]

Labor creates wealth
Investment just moves it from one place to another

Investment spurs growth and innovation for companies as investors reward successful companies with capital. Innovation creates wealth. Look up a guy named John Chambers, former CEO of Cisco Systems.

 

[rightwinger]

OMG - can these Dems ^^^ be any more clueless?

Why do you tax workers who actually create a good or service higher than someone who just moves money from point A to point B

 

[Hollie]

OMG - can these Dems ^^^ be any more clueless?

Rw's usual, emotional outburst.

 

[Lisa558]

Jr. companies in particular will be stymied. No one is going to risk their money at that tax rate. This will destroy companies and an vital vehicle for citizens to create wealth by supporting businesses.

And small businesses are the lifeblood of the economy, and that also plays into the socialist goals of the Destroy America Party. They don’t want small businesses. They want large businesses only, which ultimately the government will “partner” with and control.

You saw it during COVID. They let Target and Walmart operate, but drove all the Mom and Pop stores into bankruptcy.

 

[Lisa558]

Why do you tax workers who actually create a good or service higher than someone who just moves money from point A to point B

I explained it. (Shows what a waste it is to exolain something toma Democrat government employee.)

 

[rightwinger]

Investment spurs growth and innovation for companies as investors reward successful companies with capital. Innovation creates wealth. Look up a guy named John Chambers, former CEO of Cisco Systems.

Work creates wealth
Investment just chooses investment A over investment B

 

[Hollie]

Work creates wealth
Investment just chooses investment A over investment B

Corporate innovation creates wealth. Look at the IPO price of Apple, Cisco. Microsoft, etc., and the returns to investors.

 

[Winston]

….and the more they can spend, the more they can bribe people for their votes. Have you heard her latest cockamamie idea about handing out $25,000 for first-time homebuyers? The Democrats are counting on the stupidity of the American voter to win this election.

My son bought his house with $15,000 down payment from the county for first time home buyers. He actually cashed out at closing, but, he had to keep the mortgage for five years or he would have to pay part of that back. That was seven years ago. He refinanced three years in, at less than three percent, cut the term from 30 to 15 years, but had to pay part of that grant back. No problem, his property doubled in value. A,nd that county has exploded in population, young professionals.
Those type of proposals always come with vesting rules, and like in my son's county, they can deliver powerful results. Ironically, the video you linked in the OP, it had a hyper-link for the capital gains tax proposal. It shot you to here,

https://www.whitehouse.gov/wp-content/uploads/2024/03/budget_fy2025.pdf

Some rock solid proposals in there. And they are detailed. You can find the first-time homeowner information on page 21. It is $10,000, over two years. I really like the $10,000 tax credit to the seller of a at below median price home in the area. Great way to stimulate the market and promote more first time home buyers.

 

[Hollie]

My son bought his house with $15,000 down payment from the county for first time home buyers. He actually cashed out at closing, but, he had to keep the mortgage for five years or he would have to pay part of that back. That was seven years ago. He refinanced three years in, at less than three percent, cut the term from 30 to 15 years, but had to pay part of that grant back. No problem, his property doubled in value. A,nd that county has exploded in population, young professionals.
Those type of proposals always come with vesting rules, and like in my son's county, they can deliver powerful results. Ironically, the video you linked in the OP, it had a hyper-link for the capital gains tax proposal. It shot you to here,

https://www.whitehouse.gov/wp-content/uploads/2024/03/budget_fy2025.pdf

Some rock solid proposals in there. And they are detailed. You can find the first-time homeowner information on page 21. It is $10,000, over two years. I really like the $10,000 tax credit to the seller of a at below median price home in the area. Great way to stimulate the market and promote more first time home buyers.

The " free money" tales and fables always seem to leave out the fact that nothing is free. The money comes from somewhere. When the federal government gets involved, the free money becomes an add-on to the national debt. Dims seem not to understand that tsxpayer money has a limit.

 

[Rambunctious]

So she wants to kill the housing market and now the investment market...

 

[rightwinger]

And small businesses are the lifeblood of the economy, and that also plays into the socialist goals of the Destroy America Party. They don’t want small businesses. They want large businesses only, which ultimately the government will “partner” with and control.

You saw it during COVID. They let Target and Walmart operate, but drove all the Mom and Pop stores into bankruptcy.

No
Actually we want the employees of that small business to pay taxes at the same rate as the owner pays on his profits

 

[Hollie]

So she wants to kill the housing market and now the investment market...

She will create another 2008 style mortgage crisis and when the collapse happens, she will blithely proceed on as though nothing happened.

 

[rightwinger]

Corporate innovation creates wealth. Look at the IPO price of Apple, Cisco. Microsoft, etc., and the returns to investors.

Innovation came from the workers at that corporation not from the guy who bought stock

 

[Hollie]

No
Actually we want the employees of that small business to pay taxes at the same rate as the owner pays on his profits

Who is this "we" that you have presumed you are the spokes-ayatollah for?

 

[rightwinger]

Who is this "we" that you have presumed you are the spokes-ayatollah for?

We the People of the United States

 

[Hollie]

We the People of the United States

I see. Ayatollah RW'er has a mandate from what people?

 

[Hollie]

Innovation came from the workers at that corporation not from the guy who bought stock

Not necessarily true. Innovation is spurred from boatloads of cash when individual investors and big mutual fund managers see that a company has an innovative product that will make money for the company and thereby reward those who invested with an increasing stock price. It's really the purest form of capitalism.

 

[Care4all]

Overseas, for one. Basically, anywhere they can get a lower tax rate. China, for example, has a 20% rate, the same as the US. Where do you THINK the investment money is going to go if we jack our rate to 44%?

We are not jacking up our rate to 44% on all capital gains.... this is for a specific, narrow group.

 

[rightwinger]

I see. Ayatollah RW'er has a mandate from what people?

Lets ask Abe Lincoln.